Business FAQ

Q.  What kind of Insurance do I need for my Business?

Depending on the individual risk characteristics of your business, Atascadero/Morro Bay Insurance will present you with different coverage options for purchasing commercial insurance.  Since commercial insurance can be complicated, you should fee free to discuss any terms, conditions, or concepts that are unclear with us.  We are here to answer your questions and help you understand the insurance you are purchasing.

While your business may not need all commercial coverage lines, it is a good idea to have a basic knowledge of the types of insurance coverage available.  As your business changes and expands you will the necessary knowledge the purchase insurance coverage as new exposure arise.  The following commercial lines of insurance cover broad areas of exposure common to most business operations:

Property Insurance

  • Commercial Property
  • Inland Marine
  • Boiler and Machinery
  • Crime

Casualty Insurance

  • Commercial Automobile
  • Commercial General Liability
  • Commercial Umbrella
  • Workers Compensation


Q.  Do I need Commercial Auto Coverage?

You need commercial auto coverage if you or your employees will use titled vehicles in their work.  Many small business owners believe that if their car is in their personal name them commercial coverage is not necessary and their personal auto policy will cover the auto.  This is not true.  Most personal auto policies exclude from coverage the use of a vehicle for commercial purposes.  Now, it is true that the exclusion applies if the vehicle is being used primarily for commercial purposes.

If you use any titled vehicle in your business, then you should purchase this coverage.  The risk of a serious auto accident wiping out a small business far exceeds the premium paid for the coverage.

A commercial auto policy does the same thing as your personal auto policy.  It provides coverage to repair or replace a vehicle damaged in an accident and it will pay the claims of any third party injured in the accident.

You should also purchase “non-owned” coverage as well.  This coverage will provide coverage to the business when employees use their personal vehicles for the business.  It will also provide coverage whenever the business makes use of vehicles it does not own.  This includes your car when used for business purposes.